CONSENSUS MODELS || 10% beneficiary to @tron-fan-club
In many different countries of the world, if they want to make a new law they will have to propose that law because that is the first thing to do. Thereafter, the members of the will vote on the law and if a certain percentage of the members of the house voted on the proposed law, then the law will become legal. Just as it is in the real world, that is how it is in the crypto world.
To explain this, I will have to break down the words to give a clear understanding. The Consensus has done the part where people come together to agree on certain things while the model part is the channel that will take to carry it out. Now that you have understood the two words, we can say the consensus model is the procedure that will connect people and make them agree on a certain thing.
To look at it in the world cryptocurrency world, it simply means that they agree on the state of the blockchain such as how the blockchain process their transactions, data, and the smart contract. The are a lot of consensus models here but there only two that year have been used for many years and have been successful.
Bitcoin is actually using the Proof of Work consensus model and it is the first PoW consensus model. The idea is to use computers all over the world to prove a certain transaction and make sure the transactions are valid. This means that the computers will have to put in more to have the chance of earning a reward. If anyone wants to participate in the network the fellow will have to have a lot of computers and also high computing power to have a high chance of earning a reward. The Proof of Work security is very secure because it is very difficult to control the network. For anyone to hack the PoW blockchain, they will be to control at least 51% of the network which will be very difficult because the Bitcoin network is very large. The person will be to have trillions of dollars to control the network.
In proof of work, many computers all over the world are competing to validate a transaction, and the first computer to solve a problem will get the reward. With Proof of Stake, it is different because it is only one person that will get to be picked to validate a transaction and that means you will not be using much electricity. To become a validator, you have to stake your token, and the more tokens you stake the more influential you will become in the network. If you lock your token, other validators can check your work to make sure you are validating the right transaction. If you validate a wrong transaction, the other validator can prove you wrong and your validation reward will be taken away.
DPoS is very similar to PoS but the only difference is that you don't have to do any work to validate transactions. You can just delegate your token to another person. If don't have time to validate a transaction, you can delegate your token to another person to earn a staking reward. The process gives democracy in the blockchain, other people can trust the other validators that they will vote on their behavior.
This consensus model uses digital storage space to participate on the blockchain and that means you will need a hard drive to participate in the network. The blockchain stores data on a hard drive and later in the future it will check the storage space to see if the data is still there. The information stored on the hard drive might seem useless but in the real sense, they are very useful information that helps the blockchain. Some coins use the model such as FILE coin, and BitTorrent stores useful information on your storage devices, and you will be paid with their native coin to store those encrypted data on your devices.
A blockchain like Algorond uses the Proof of Weight consensus model and uses the weight value of some things in the network. You how Proof of Stake works, that the more that a fellow stake their token, the more chances of getting selected to validate a transaction but it the Proof of Weight, it does not use only how many tokens you have in your wallet, it could be the period you have added them, it could be how many data you have and also the reputation can also be considered.
PoA is another version of PoS, but it works in a way that they only select a few nodes that they trust, unlike the PoS model anyone could validator transaction once they have their tokens staked. The nodes of the PoA blockchain are usually known and very transparent and can process transactions faster.
The model is not well known and it uses difficult mathematics. Hyperledger and Zilliqa use a practical byzantine fault tolerance model and how it works is that the nodes on the blockchain combine the information that they already have with the current information they already have to decide whether they want to add it to the network or not. All the node of the blockchain will share their decision to come to conclusion on whether or not to add it to the blockchain. One of the benefits of this strategy is that they are very fast but there is a problem with trust in the network because there are fewer nodes in the blockchain.
This consensus model requires you to make a list of the several validators that you trust, after making the list, you will start sending these validator transactions to validate. The validator does not have to do any special or stake any token, they will just check the transaction to see if it is good or not, and if it is good, they will sign and if is not good, they will toss it aside. Ripple blockchain uses this consensus model to validate their transaction.
IOTA blockchain uses DAG to validate its transactions. You should know that a direct acyclic graph is not for blockchain, it is just another way to validate transactions without using a blockchain. You can think of it as a pool of data that connects all the little information.
https://twitter.com/special78122/status/1557589842594340864?s=20&t=eN-Qxck4TzOpMMdmgjqYxw
the explanation you made is very good and provides good information for many people and of course that is something that must be considered, right